TTC wants to sell $51.7-million tunnel boring machines to Chinese company for just $9.2 million

The Toronto Transit Commission wants to sell four tunnel boring machines (affectionately christened Yorkie, Torkie, Holey and Moley) that burrowed the Spadina subway extension for a fraction of what it paid, arguing that it doesn’t make sense to reuse the excavation technology on future projects.

Bought in 2009 from Caterpillar Tunnelling Canada Corporation for $51.7-million (before tax,) a report on the agenda of this week’s TTC meeting recommends selling them for $9.2-million, apparently the best price the commission could get, and about $6-million less than the TTC had budgeted.

Caterpiller  has sold its Tunnel Boring Machine assets to a Chinese company called Liaoning Censecience Industry Co. Ltd., which later adopted the Canadian corporate name Lovsuns Tunnelling Canada Ltd.

In May, Lovsuns offered $9-million for the machines. “TTC staff requested a better price,” the report stated. “Lovsuns increased their offer to $9.2-million indicating that it would not increase it more and expressed urgency in finalizing the sale.”

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Via: National Post Online

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